Gm friends,
Welcome back to another Premium Investor Report.
Let’s jump in!
Here’s what’s in today’s issue:
- Technical analysis for you on the current market.
- A DeFi tutorial on Anzen Finance and the RWA-backed Stablecoin USDz.
Market Analysis
Big moves happening this week! Let’s dive straight in!
Bitcoin
Bitcoin on the daily (I write this some hours before you see it so things will have changed).
Here are the key things I am watching on the daily charts.
- Bitcoin rallied hard right into resistance at $66,500. Logical place for a pit stop. Now let’s see how the price reacts. Will bitcoin form a bull flag (consolidate under this resistance) before breaking higher, correct down to retest key moving averages, or just rip higher blasting past the line of resistance? Bitcoin at resistance with meme coins pumping like mad can be a troubling sign so perhaps a bit of caution to see what plays out in the next few days.
- The 50 day EMA (blue line) has crossed over the 100 day EMA (yellow line) a moving average bull cross signaling growing strength in the market… assuming we can crack that resistance overhead
- The long signal from last week was triggered with the price falling just under the 200 day EMA. Seeing Bitcoin rise by 12%. 2 or 3X leverage could have made that a very juicy move if you caught it. Trailing stop loss to lock in those profits. Level to level bounce from support and move up to key resistance.
But that is all just the short term.
The weekly MACD is on the verge of a major bull cross. This could be the last major trend shift higher of the cycle.
Last time this happened Bitcoin went from $27,000 to $74,000 in a run that lasted from October 16th to April 29th.
Assuming we get the bull cross in the next week or two unless markets totally cuck us again, then we could be gearing up for the rally that carries us to new highs and into a possible cycle peak in early 2025.
You will strongly want to consider exiting all altcoin positions when that Bitcoin bear cross happens. It will be the last call to get out before all hell is let loose.
But before then, the pump.
Ethereum
Now let’s look at Ethereum which has been a depressing asset recently, but perhaps not for much longer?
Ethereum has obviously been lagging behind Bitcoin and much of the market. Leading many to speculate that Ethereum is having some kind of crisis of confidence.
Wall Street won’t even buy this damn thing, so what hope do we have?
(total ETF flows so far for October)
But what do the charts say?
Two critical things.
- We are quickly approaching a MACD weekly bull cross. Again, these are powerful signals, but as you can see it is much farther away from closing compared to the Bitcoin bull cross on the same weekly timeframe. Lagging but heading in the right direction.
- $2,800 remains the key level for ETH. What was once critical support (orange line on the chart) is now critical resistance. Break that and ETH can soar. But until then ETH remains a pretty lame trade.
Spot buys under $2,800 should do well this cycle.
Leveraged trades on the breakout over $2,800 could also be interesting.
Also, very interestingly, and perhaps a sign of a broader altcoin season is the Total3 chart which excludes Bitcoin and Ethereum, so…
Hi! My name is Lark Davis!
I’m a cryptocurrency investor with years of experience and I’ve been making consistent profits in the crypto space.
I’m passionate about helping others do the same, so I run multiple educational channels on crypto investing.
